Sue Fox, @Properties. Direct 773.816.1788

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As fall approaches, Chicago buyers emerge

filed under: Andersonville, Buyers, Mortgage Rates posted on August 19th, 2010

LOFTY LIFESTYLE:

LOFTY LIFESTYLE: This 2-bedroom condo in the heart of Andersonville lives like a loft, with soaring 13-foot ceilings, a spacious living area, and exposed brick in every room. With buyer demand re-emerging, three buyers have asked to see it in the last few days.

The summer of 2010 was a particularly slow season for Chicago real estate, beginning in May when the federal tax credits for home buyers expired. But now, as summer heads into autumn, house hunting seems to be picking up again.

Super-low mortgage rates are certainly part of the allure. Many Chicago lenders are now offering rates well below 5%… This week I saw that Guaranteed Rate was dangling a 4.375% interest rate on a 30-year fixed loan, which is the lowest I’ve ever seen. These rock-bottom rates make borrowing money quite cheap, meaning that buyers can get considerably more house for the same monthly payment than they would have a few years ago when rates were between 6 and 7%.

At one of my listings, a 2-bedroom condo with parking in the heart of Andersonville, I’ve had three showing requests in the last three days. One of the prospective buyers told me she and her husband just sold their previous home. My theory is that now we’re going to see more buyers like her, people who managed to sell their existing property (perhaps thanks to the tax credits earlier this year) and are now in a position to buy again.

Written by Sue Fox //

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